T Immobilien (TEG) AI Stock Analysis

• Market Cap: €2.68B
• Dividend Yield: 3.02%
• Average Volume (3M): 374.68K
• Price to Earnings (P/E): 9.0
• Beta (1Y): 0.53
• Revenue Growth: -32.32%
• EPS Growth: N/A
• Country: DE
• Employees: 1,440
• Sector: Real Estate
• Sector Strength: 53
• Industry: Real Estate - Services
• EPS (TTM): 0.85
• Shares Outstanding: 189,034,940
• 10 Day Avg. Volume: 369,461
• 30 Day Avg. Volume: 374,682
• PEG Ratio: -0.16
• Price to Book (P/B): 0.83
• Price to Sales (P/S): 2.33
• P/FCF Ratio: 19.31
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: €18.55
• Price Target Upside: 40.00% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 6
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 60 Neutral
• Price Target: €13.50 ▲(1.89% Upside)

The overall stock score of 60 reflects a mixed outlook. The company's strong profitability and attractive valuation are offset by bearish technical indicators and challenges in revenue growth and cash flow generation. The stock may appeal to value investors but requires careful monitoring of its financial health and market trends.

Positive Factors

Strong Profitability

The company maintains a robust gross profit margin of 38.5% and a net profit margin of 26.9%, indicating efficient cost management and strong profitability.

Stable Balance Sheet

With a manageable debt-to-equity ratio of 1.28 and an equity ratio of 38.9%, the company maintains a balanced capital structure, supporting long-term financial stability.

Cash Generation

Despite challenges, the company efficiently converts net income into cash, ensuring liquidity and the ability to reinvest in growth opportunities.

Negative Factors

Revenue Growth Challenges

The decline in revenue growth indicates difficulties in maintaining sales momentum, which could impact future profitability and market position.

Cash Flow Efficiency

Limited cash conversion efficiency suggests potential issues in cash flow management, which could affect the company's ability to fund operations and growth.

Leverage Concerns

A higher-than-ideal leverage ratio may strain the company's financial flexibility, potentially impacting its ability to manage debt and invest in growth.

T Immobilien Business Overview & Revenue Model

Company Description

TAG Immobilien AG, a real estate company, acquires, develops, and manages residential real estate properties in Germany. The company also rents commercial real estate properties, as well as operates serviced apartments. As of December 31, 2021, it managed approximately 87,600 residential units. The company was formerly known as TAG Tegernsee Immobilien-und Beteiligungs-Aktiengesellschaft and changed its name to TAG Immobilien AG in September 2008. TAG Immobilien AG was founded in 1882 and is headquartered in Hamburg, Germany.

How the Company Makes Money

T Immobilien generates revenue through multiple streams, primarily from rental income derived from its portfolio of residential and commercial properties. The company also earns money through property sales, where it capitalizes on market appreciation after strategic renovations. Additionally, TEG offers consultancy services, charging fees for expert advice on real estate investments and development projects. Significant partnerships with local governments and construction firms facilitate timely project completions and enhance the company’s reputation, leading to increased business opportunities and revenue generation.

T Immobilien Financial Statement Overview

Summary

T Immobilien has shown resilience with a recovery in net income in 2024. However, concerns remain due to fluctuating revenues, high debt levels, and declining free cash flow, which could impact future growth and financial flexibility.

Income Statement

The company has shown fluctuating revenues with a notable decline in 2024 compared to 2023. The gross profit margin has been relatively stable, but there was a significant drop in EBIT and EBITDA margins in 2023 due to negative earnings, impacting profitability. The net profit margin improved in 2024, turning positive after a loss in 2023, indicating a partial recovery.

Balance Sheet

The company maintains a moderate debt-to-equity ratio, reflecting a balanced capital structure. Stockholders' equity has grown, indicating strong asset management. The equity ratio is stable, suggesting a solid asset base, although high total debt could pose a risk if not managed properly.

Cash Flow

Free cash flow has decreased significantly from 2023 to 2024, indicating potential liquidity concerns. The operating cash flow to net income ratio is strong for 2024, suggesting efficient cash generation from operations. However, declining free cash flow could impact future investments and financial flexibility.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	919.27M	1.08B	1.33B	954.90M	612.07M	681.18M
Gross Profit	409.60M	405.67M	395.64M	347.73M	314.40M	341.25M
EBITDA	445.93M	199.04M	-419.81M	213.00M	780.37M	594.10M
Net Income	391.83M	121.12M	-396.92M	113.09M	570.46M	393.52M
Balance Sheet
Total Assets	8.88B	7.75B	7.30B	8.21B	7.09B	6.48B
Cash, Cash Equivalents and Short-Term Investments	1.35B	603.46M	128.60M	240.49M	96.45M	320.02M
Total Debt	4.35B	3.76B	3.32B	3.82B	3.09B	3.06B
Total Liabilities	5.36B	4.65B	4.34B	4.91B	3.96B	3.80B
Stockholders Equity	3.45B	3.02B	2.89B	3.20B	3.04B	2.60B
Cash Flow
Free Cash Flow	60.24M	130.49M	284.78M	124.92M	152.35M	241.15M
Operating Cash Flow	75.38M	142.03M	291.94M	133.56M	164.03M	253.99M
Investing Cash Flow	-197.19M	-83.99M	117.89M	-561.23M	-272.22M	-215.69M
Financing Cash Flow	804.31M	414.08M	-529.40M	573.51M	-119.30M	196.77M

T Immobilien Technical Analysis

• Technical Analysis Sentiment: Negative
• Last Price: 13.25
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Negative
• MACD: Positive
• RSI: Neutral
• STOCH: Positive

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For DE:TEG, the sentiment is Negative. The current price of 13.25 is below the 20-day moving average (MA) of 13.96, below the 50-day MA of 14.35, and below the 200-day MA of 14.17, indicating a bearish trend. The MACD of -0.32 indicates Positive momentum. The RSI at 36.20 is Neutral, neither overbought nor oversold. The STOCH value of 16.11 is Positive, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for DE:TEG.

T Immobilien Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
LEG	70 Outperform	€4.84B	4.06	15.11%	4.44%	6.91%	―
DEQ	69 Neutral	€1.41B	10.52	7.42%	28.50%	-6.87%	―
PAT	69 Neutral	€616.36M	28.46	―	4.26%	0.23%	―
GYC	68 Neutral	€1.82B	4.47	14.70%	―	0.44%	―
Sector *	65 Neutral	$2.17B	12.19	3.79%	4.94%	3.15%	1.96%
TEG	60 Neutral	€2.68B	9.03	12.29%	3.02%	-32.32%	―
AT1	59 Neutral	€3.34B	4.60	10.60%	―	-1.35%	―